Recently, it was announced that UK household savings had risen sharply during the coronavirus pandemic, reflecting changing consumer behaviours and fuelling rebound optimism across the board.
However, this shouldn’t detract from the fact that disposable income levels have largely fallen flat in recent times, in line with stagnating wage growth and disproportionately high levels of inflation.
This has encouraged a growing number of people to take on additional work and side hustles in addition to their day job. But what are the side hustles that can really boost your earning potential in 2021?
- Selling Items Online
Let’s start with the most obvious option; with the online marketplace having enjoyed exponential growth in the wake of the coronavirus throughout 2020.
Amazon delivered a record performance in 2020, for example, with annual revenue up 38% (to $386 billion) and net profit rising by 84%. Ebay also saw gross merchandise volume increase by 17% year-on-year, adding $14.5 billion GMV throughout 2020.
The growth of these entities highlights the rising demand for online shopping and virtual sales, creating lucrative markets for vendors to sell their unwanted items and generate a viable secondary income stream.
You can definitely leverage this to your advantage in the near-term, particularly as economies across the globe are only just beginning to emerge from national lockdowns.
- Forex Trading
If you’re in the market for a truly lucrative and passive income stream (which can be built around your day job), forex trading arguably offers the most potential.
However, forex trading is also fraught with risk, so you’ll need to take steps to safeguard yourself and your capital if you’re to achieve sustainable success.
The first is to learn about the market’s fundamentals and the basics of currency trading, before utilising an online demo account through platforms such as the MetaTrader 4. This affords you practical market experience, while enabling you to hone your trading strategies over time.
Then, you’ll need to start small and create a manageable trading strategy around your day job, only looking to diversify and scale your efforts in line with experience and profitability.
- Online Tutoring
Aside from the health and socio-economic impacts of the coronavirus, this pandemic has also adversely affected children’s education and personal development.
This has created a temporary demand for online tutors, who can provide socially distant and targeted learning to children who have been affected by spending considerable amounts of time over school.
This may be particularly beneficial to older children, particularly those at Secondary School who are about to undertake the GCSEs.
Of course, you’ll need a tangible skill or knowledge of a particular subject to operate successfully as a tutor, while this is also a more time-intensive endeavour that will have to be scheduled carefully alongside your day job.